ClearBank, the enabler of real-time clearing and embedded banking, announces it is enabling the launch of savings accounts with crypto-native exchange, Coinbase (NASDAQ:COIN). via its Embedded Banking solution. This launch marks a significant milestone in the UK’s financial ecosystem as it is the first time savings accounts will be available directly via a digital assets exchange.
The savings accounts mark an evolution in ClearBank’s long-standing collab with digital assets platform Coinbase in what it is considered to be its “most significant international market outside the United States.”
ClearBank has reportedly been helping enable Coinbase’s GBP on/off ramps and wallets since 2019, and also supporting cryptocurrency exchange Coinbase to deliver “access to the UK Faster Payments System (FPS) and CHAPS.”
The latest partnership is said to have improved the customer experience of real-time fiat deposits, providing Coinbase customers with “vital protections and seamless fiat infrastructure.”
The recent step in the partnership will now aim to deliver embedded savings accounts, marking a key step forward in effectively bridging the gap between traditional finance and the fast-evolving digital economy.
It also further expands digital asset exchange Coinbase’s substantial ongoing commitment to the UK, which is already its largest international market.
Via ClearBank Embedded Banking, Coinbase’s savings accounts will offer its customers the ability to earn relatively high interest rates (3.75% AER paid daily) on GBP cash balances while also providing FSCS protection for eligible balances “up to £85,000, which will provide users with the opportunity to earn as they trade between digital assets and traditional currencies.”
The firms now anticipate that the introduction of savings accounts on the Coinbase app will provide consumers with improved protection for their cash holdings through the FSCS protection, while also supporting more seamless interaction between traditional and digital currencies.
With the value of fiat currencies always depreciating over time, these products and updates aim to offer consumers with ways to somewhat preserve the value of their hard-earned capital.
